Archive for October, 2009

Myth 8-I should bake cookies, light candles and put some flowers in a vase.  Yes, that would all be great but you don’t need to light a candle if you still have big stains on the ceiling from a leak (assuming the leak was fixed)?  Is your home clean?  Do you have kitty litter out?  Is the pool clean? Do have dirty carpets?  My point is the place needs to not only have perfect curb appeal but also has to be in tip top shape before you buy some pretty yellow roses.  Clean floors, clean the chicago brick, get the dog hair up off the floor, pick up dirty shoes, how does it smell?  Smell is almost as important as how it looks. If your home smells funky, buyers notice it and then even if it looks great something is unsettling for buyers if it smells bad.  After looking at a few properties, I have had buyers say, “Oh ya the one that smelled bad?!? I couldn’t even look any more since it smelled so bad.” Do you smoke inside?  If you have dogs, the worst thing for a buyer to smell who doesn’t have dogs or even if they have dogs is DOG!  No buyer wants to look at a kitty litter holder with cat poop in it!  Gross.  Paint. Fix lights. Clear off countertops, desks, dressers, bathrooms etc. Clean closets. Clean windows.  Clean the inside of sliding glass doors so there are not dead bugs, leaves or other creepy crawly things dried up in the crevices of the doors.  Do the sliding doors open easily?  If they get stuck and don’t slide then the buyer inherits that issue and they make note. Get rid of big bulky furniture.  Get rid of boxes.  Make it look or seem bigger by getting rid of big, bulky furniture. Clean AC vents. Yes, it is a lot of work to sell a property but to sell a property for top dollar in this market requires a lot of time from the seller or owner. Take dirty pans off the stove.  Put dirty dishes in the disherwasher not in the sink for show.  Pick up leaves outside.  Clean the driveway.  Trim the plants and trees so they are neat.  Clean your walkway. 

Smelly dog smell is the worst for a buyer to smell

 If you are trying to sell your home and have not been successful, reach out to me and I can visit your home if you are in the South Florida area.   

Clean, not cluttered, ready to show-the great room

84 Bay Heights

So two houses under $400k went on the market in the last 2 days -one at 84 Bay Heights (listed by EWM-Jo Ann Forster and Carlene Cass) and another just went on a few hours ago at 4095 La Playa (listed by Bryan Schaefer at Coldwell Banker).  Bay Heights is in the North Grove and the other in the South Grove.  As soon as Bay Heights which was on an oversized lot, with pool and had 3+ bedrooms hit MLS the agent got 10+ calls and was showing it at 9 am the next morning until 6 +pm!  She has multiple offers and some all cash and the house needed new everything.  As soon as La Playa hit MLS the agent had 5 showings (I know since I was the first agent to call) at 7 pm tonight.  What does this mean?  Is the market turning?  Sellers are getting realistic!  Realtors are letting sellers know what price to price at if they want to sell and not have it sit on the market for months and sellers are listening to their agent and guess what, the seller has multiple offers and even has all cash offers to choose from.  This is good news folks!  I remember when I bought my house in 2002 in Coconut Grove and this kind of activity was happening.  A new listing came on the market under $500,000 and buyers swarmed the property and multiple offers were coming in.  With interest rates low and tax credits and the pricing down and low inventory this makes for a turning market!

Myth #5-Ocotber 17, 2009

Myth: Minor repairs can wait until later so why spend the money.

Not true, if you know about repairs that should happen, just do them.   Once you have a contract and the home is inspected those minor items may seem like major repairs to some buyers.  Get your home in the best shape possible.  Make a list and do each minor repair.  Some inspectors make a big deal out of minor repairs and this could scare a buyer and they may back out of purchasing your home especially if there are minor items and major items!

October 12, 2009

Myth #3

If I renovate and improve my home, I will make more money! This is a tricky one, as there are property improvements which will raise the value of your Miami property and some that may turn a buyer away. There are also many home improvements that will allow you to see a return on your investment. With that said, you also must know that there are many improvements that will simply do nothing in terms of resale value. 

If you renovate a bath or kitchen use neutrals or whites especially in Southern Floirda not custom colors that will not appeal to the masses.  Sometimes I walk into homes with buyers and my buyer would have had interest if they actually would have done nothing and it was in its original state.  It is important to realize a future buyer may not like your specific taste therefore may not see value in the upgrades you just spent lots of money on.  For example, you will likely see a return on your investment in a kitchen remodel, provided you don’t go overboard with custom features and high-end, commercial appliances. Other areas that will see very little return on your investment include home offices, master bedroom add-ons and custom bathroom designs.

Strong bets in terms of resale value typically include flooring and getting rid of old carpet, new roofs, putting in impact glass windows or adding a pool, new AC systems; kitchen cabinets and countertops and basic bathroom remodels. Also, updating old galvanized plumbing if still original if the home was built before 1954.  This immediately increases the value of the home but is not a little job. 

I can guide you as to what I think may help you in making more money on your real estate investment.  Call Jill at 305-807-9199.

October 8, 2009

I always think it is interesting to hear buyers’ and sellers’ perception around what will happen, how they think the property should be sold and different expectations when buying a property.  For the next 10 days come back to read my blog, as each day I will give you one new myth and why I think certain advice and suggestions may or may not be true.   

#1. If I price my property high, people will still make offers even if they are low ball offers and if it doesn’t sell I will just reduce the pricea few times.  I think some sellers are actually ok pricing high (even if the realtor has tried to convince them otherwise) for a few reasons.  Some are still holding on real tight the good old days especially during 2004-2006.  They can’t stop obsessing over it and I hear, “Well if I would’ve sold when neighbor, Sally, did I could a made $100,000 more!”  Ya, ok I hear ya, but those days are all over, bye, bye.  Just think when you buy something you will make up for the difference.  Another reason, I believe, is some sellers have an emotional process to go through.  A home is one of your biggest investments financially and emotionally.  Some people, not realizing it need to go through a longer sales process to get comfortable with the idea and fact that they have to move physically and mentally move on.  Maybe it is time to get more space or a home more suitable for kids.  Maybe they know deep down they need a change or life circumstances have changed and they need to be closer to work or school.  This emotional process (or battle at times) is normal since we create so many memories in our home and some more than others are attached to the structure which houses them for many different reasons.  Therefore, they claim they are not in a rush to sell so they choose to not listen to the price the realtor suggested and price it high and perhaps go through a few price reductions, lots of showings and lots of thoughts around selling their property before and after listing the home.  

The problem with pricing high in some instances is it causes the seller to miss some qualified buyers buying at a certain time and they might be scared off by the high price and not even go see your property therefore you have missed an entire group of real potential buyers.  Then it sits and sits until the seller is ready to reduce the price.  Perhaps the realtor comes back to meet with the sellers to review current comparables.  Also, keep in mind the amount of time on the market is weighed by some buyers in the thought process of making an offer.  If a property is on the market for years a buyer may wonder if something is wrong with it.  Buyers are super savvy right now and are out there ready to pounce on a good deal and have been educated to ask great questions!  Realtors can look on the Multiple Listing Service and check the history of a specific property.  The history paints a glimpse into the seller’s situation since it tells one how long it has been on the market with different Realtors, how many price changes, did it rent, did they withdraw it for some reason etc. 

Let’s face it, it can be an emotional roller coaster and selling and buying a home is one of those rides we all take at some point or another. 

What I find in this market where I live in Coconut Grove, Florida whether a townhouse, vacant land, a single family home or condo if the property is priced to sell, really priced to sell, buyers are out there waiting for a deal and are pouncing on those properties in a matter of a two, three weeks on the market.  A foreclosure or short sale may be eaten up in a matter of hours if for whatever reason was not only priced to sell but perhaps under priced. 

Check in tomorrow for Myth #2 for some more of my thoughts and opinions.  If you would like to buy or sell call me at 305-807-9199 or email me at jill@jillpenman.com